I'm a bit astonished that changing slide quality could improve FMR-slides - those are video slide, but I can be wrong?
Cannot help you, except with the advice that you should change the Preferences, Recording, Video Demo immediately from 16bit to 32bit. That setting is then also valid for FMR. That was the only solution in versions before CP6 to have an acceptable quality for FMR-slides. But that will not change already recorded slides, too bad.
Personally I do not use FMR anymore, but for slides that need such a video approach, will insert a Recording slide in Video demo mode. The quality is a lot better but the work flow is a bit more cumbersome. You have to stop the normal capture work flow to record those Video demo slides, or replace the old FMR-slides by Video Demo slides afterwards. That is not always so easy because you have to reproduce exactly the same situation.
Please Varun, confirm that changing slide quality can improve video slides? If that is the case (seems not when I tested quickly) I have often given a wrong advice.
Lilybiri